Definition
Ramp time is the time it takes a new rep to reach full productivity or a target quota level.
Formula
Ramp time = months to reach target productivity
Example
If reps hit 80% quota by month 6, ramp time is about 6 months.
How to use it
- Use ramp curves, not single averages, for hiring plans.
- Shorter ramp time improves CAC payback and growth velocity.
- Track ramp by role and region to avoid misleading averages.
- Validate ramp with cohort data after comp plan or product changes.
Common mistakes
- Using peak performance as the ramp benchmark.
- Ignoring enablement and lead flow constraints.
- Using ramp assumptions that do not reflect turnover.
- Applying one ramp assumption across very different segments.
Why this matters
This term matters because small changes compound in SaaS metrics. Use consistent definitions by cohort and segment so you can diagnose retention, payback, and growth quality.
Practical checklist
- Write a 1-line definition for "Ramp Time" that your team will use consistently.
- Keep the time window consistent (weekly/monthly/quarterly) when comparing trends.
- Segment results (channel/plan/cohort) before drawing big conclusions from blended averages.
- Sanity-check with a related calculator from the same category on MetricKit.
- Read the related guide (e.g., Sales ops metrics hub: quota, pipeline, win rate, and capacity planning) for context and common pitfalls.
Where to use this on MetricKit
Calculators
- Blended CAC Calculator: Compare paid-only CAC vs fully-loaded (blended) CAC, and estimate payback at a target margin.
- Cohort LTV Forecast Calculator: Estimate cohort-based LTV using churn, expansion, gross margin, and optional discounting.
- Price Increase Break-even Calculator: Estimate the maximum churn (immediate or ongoing) a price increase can tolerate before it destroys revenue.
- Retention Curve Calculator: Model a simple cohort retention curve (logo retention) and translate it into expected revenue and gross profit over time.
- Two-stage Retention Curve Calculator: Model a retention curve with different churn rates for early months vs steady-state, and estimate expected value over time.
Guides
- Sales ops metrics hub: quota, pipeline, win rate, and capacity planning: A practical hub for sales ops planning: quota attainment, pipeline coverage, required pipeline, sales capacity with ramp, and OTE math.